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Bowden, S. (2012). Nosh Food Market. Waikato Management School, The University of Waikato, Hamilton, NZ. pp.1-21 .

nosh food market

Clinton Beuvink, glanced out the window of his sparse Greenlane office across to the Countdown
superma rket across the road. " It's not about being them ," t he Nosh CEO declared as he raced out
the door to his next meet ing in a hectic schedule. " It ' s about being us. But there is a big opportunity
out there and we th ink we've only scratched the surface. We have to cont inue to be smart in how
we opera te, but we can absolutely grow th is business. We want to be 5% of the grocery business in
New Zealand - the same as Waitrose in England. But while it has taken them 100 years to get there,
we want to get there a bit quicker - otherwise I'll be dead and I'd like to see it . So we will have to be
a bit different in how we attack the market place."

THE ORIGINS
The first Nosh store opened in Glen Innes, Auckland in 2006. Other Auckland sto res followed in
Ponsonby, Greenlane, Mt Eden and Matakana. In 2011 Nosh opened it s first store outs ide of t he
Auckland area in Hamilton . Beuvink set up t he business afte r a career in Sales and Marketing for
large multinationals. Returning from Australia, he felt there was an opportunity in the grocery
business in New Zealand and managed to raise the necessary capital from fam ily and fr iends to start
the first Nosh store.
This case was specifically written f or the 32"d WMS Case Comp etition 2012 by Dr Stephen Bawd en. Usef or any ath er purpose requires the
express consent of the author. The assistan ce of Clinton Beuvin k, Nosh CEO, is gratef ully ackno wledged.

Beuvink's work for multinational suppliers to supermarkets had lead to a project which helped
uncover the opportunity. "From a supplier perspective you want competition across channels options so you are not completely reliant on the existing huge supermarket chains," explained
Beuvink. "Additional supermarket competitors would be useful. However, supermarkets do tend to
compete in the same way - driving down price while also expecting suppliers to sell the product
through their marketing and promotions. So other types of channels are potentially useful - vending
machines being one good example. Vending machines are a good retail interface for instant
consumption. What Nosh represented was an evolving take home opportunity that satisfied
customers in a way that supermarkets could not. That offer was around better convenience and
shopping for the day."
Supermarkets in New Zealand have a history of being very large stores and the buying patterns of
New Zealand consumers being based around weekly or even fortnightly shops. Consumers have
been encouraged to shop big and shop infrequently. "We are going the other way - shop for the
day, shop for the occasion," noted Beuvink. "In order to do that you need stores located
conveniently. We don't sell bulk packs of anything - we sell small packs for more immediate use - a
meal tonight."
The early response to the stores was encouraging. "But you tend to get a wave of experimentation
when any store opens," Beuvink explained. "Then a lot of customers will revert to their prior buying
patterns and you have to win those customers back with the quality of your offer - rather than just
newness. So there's something of a 'valley of death' that can occur after the first couple of months
for any store which certainly creates challenges." Growth to date had been steady rather than
spectacular - so that after six years Nosh operated six stores.

FOOD RETAIL IN NEW ZEALAND

Food was big business the world over. Food retailing globally represented a US$4trillion industry
with global supermarketjhypermarket sales accounting for just over half that total and independent
food stores accounting for around 16%. According to Euromonitor, the top 15 global supermarket
chains accounted for 30% of world supermarket sales. In Australia, the two largest supermarket
chains dominated the industry - Woolworths and Coles. The global economic downturn had put
pressure on the industry as

"A key feature of the food business globally,

whether it is in the retail end or supply is that it's a big to bigger game - scale drives nearly
everything," commented Beuvink. "And the big supermarket chains are into everything and very
controlling of their environment. Suppliers really are dictated to by the big retailers in consolidated
markets."
The supermarket industry in New Zealand had changed fundamentally in 2002 when the second
largest chain, Progressive, acquired the then third largest chain, Woolworths, to create a duopoly.
Previously each of the three players operated three brands in the supermarketjgrocery trade - as
shown in Table 1, next page. Supermarkets had traditionally been a low margin industry the world
over with large volumes needed to generate significant profits.

Table 1: New Zealand Supermarket Landscape (2001)


Group

Corporate Owner

Other Interests

Chains

Progressive

Foodland Associated Limited

Farmers

Foodtown

30

(Aus)

Deka

Countdown

28

Wholesale

3Guys

On the Spot

New World

110

Foodstuffs (Auk); Foodstuffs (NZ);

Pak'N Save

41

and Foodstuffs (SI)

Four Square

229

Foodstuffs

3 Regional Co-operatives:

Stores (#)

Woolworths

Dairy Farm Int.1 Group

Franklins (Aus)

Woolworths

50

(NZ)

(Singapore)

Wellcome (HK)

Big Fresh

13

7-Eleven (China)

Price Chopper

18

In 2005,

and have since consolidated down

purchased

to a single brand of supermarkets in Countdown. Since 2009 Progressive have been gaining market
share on industry leader

moving from 41% in September 2009 to 45.5% in December

2011. The New Zealand supermarket and grocery industry in New Zealand was worth $17.4B in
2011 (see exhibits 1-3 for quarterly statistics). According to a 10-year study of 30 countries
conducted by the OECD, New Zealand recorded the second highest increase in supermarket prices
over the decadeof the 2000s, an increase of almost 43%. The competitive landscape for
supermarkets in 2012 is portrayed in Table 2.

Table 2: New Zealand Supermarket Landscape (2012)


Group

Corporate Owner

Other Interests

Chains

Stores (#)

Progressive

Woolworths (Aus)

DSE, Woolworths,

Countdown

160

New World

136

Big W, Tandy, etc


Woolworths
Quickstop & Micro

3 Regional Co-operatives:
Foodstuffs

Foodstuffs (Auk);

On the Spot,

Pak'N Save

49

Foodstuffs (Wgtn); and

Liquor Land

Write Price

Shoprite

Foodstuffs (SI)

Four Square

Foodstuffs and Progressive operated with very different business models. Foodstuffs operated as
three geographically-based co-operatives under the brands of Pak n Save and New World in
supermarkets as well as Four Square in smaller grocery/dairy formats. Progressive was a
corporation owned by the large Australian retailer Woolworths. Having previously operated with

2
281

multiple brands, Progressive had by 2012 reduced down to the single brand of Countdown for its
company-owned supermarkets. Progressive was also the franchise co-ordinator for the Fresh Choice
and SuperValue brands in New Zealand.
The two big chains were very focused on each other. In 2012 both were still engaged in major
revitalisation programs that involved some new store development as well as more significant store
refurbishment programs. They both had also invested heavily in upgrades to their centralised
distribution systems. The result was very significant capital spend.
But the big capital spends were only part of the story of competition among supermarkets. The
operation of supermarkets had become increasingly complex to extract every last dollar out of
consumers. Colours, lighting, and music were all used in subtle ways to encourage purchase.
Progressive had access to a consumer lab that parent Woolworths opened in 2011 in Australia to
study buyer behaviour. The introduction of the OneCard into Countdown stores allowed the analysis
of customer buying behaviour data on a scale unprecedented in New Zealand. Pricing and
promotions were an important part of the package of appealing to customers, although there had
been recent cases of deceptive practices found. A more detailed explanation of the competitive
tactics used by the big chains is available in Exhibit 4.
While Foodstuffs had gained market share at the expense of their rival throughout the 2000s,
Progressive had begun reversing the trend since 2009. Progressive had also been consistently raising
their profitability over that period as they consolidated to a single brand, became more assertive
with their supplier base and leveraged the capabilities of Australian parent Woolworths. Foodstuffs
had traditionally paid less for their product than Progressive. This was despite Progressive buying
centrally in a corporate structure and Foodstuffs allowing individual stores to negotiate prices
directly with suppliers. Progressive had become better at extracting better deals based on their
scale of purchase.
Table 3: Progressive Enterprises Financial Results (Latest full and half year)
NZ$

Sales (m)
Gross margin (%)
CODB (%)
EBITto sales (%)
Reported EBIT (m)
Funds Employed (m)
NZ Food Inflation (%)

FY10

FYll

Hl-ll

Hl-12

5185
22.27
17.56
4.71
232.2
2,995.5
0.9

5362
22.64
17.93
4.71
244.1
3208.7
1.4

2795
22.41
17.44
4.97
134.3
3211.8
0.6

2879
23.02
17.75
5.27
149.1
3364.7
1.7

Source: Woolworths (Australia)


FYE:June 30

The reaction of the big players to Nosh was changing according to Beuvink. Their initial reaction had
been curiosity - "probably because they didn't think our model would work. Now there is probably
a bit of respect that we're still around and maybe even starting to view us as a threat - particularly
with the milk thing. Certainly their number one weapon is price. Anything offered they tend to
match on price. Step number two is to take away points of difference - and that generally means
matching the product range."

Grocery
On a smaller scale, both in terms of numbers and store format, were Grocery stores such as Nosh,
_ _ _ _ and

Farro Fresh operated three stores in May 2012, two in Auckland

and one in Hamilton. Farro's second store in Mairangi Bay had won a

The

emphasis from Farro Fresh was on support for Artisan New Zealand producers. The Hamilton store,
after poor trading, had been remodelled as a concept store in early May 2012 and was trading under
the name

at the Te Awa mall. The emphasis of Trader Jacks was on value. Huckleberry

Farms opened their third physical store in Auckland early in 2012. The Grey Lynn store operated
under the trading name of Harvest Wholefoods. Established in the 1990s, Huckleberry had
consistently emphasised natural and organic foods. Every product sold by Huckleberry in 2012 was
fair trade.
Asian supermarkets had also become more prevalent in the New Zealand grocery market. Selling a
wide range of produce, but with a clear emphasis on Asian food items frequently unavailable
elsewhere, these stores tended to operate with an emphasis on price. The increasing proportion of
Asian customers in New Zealand was a factor in growth, but so too was a broadening of interest in
what might have traditionally been seen as exotic foods by mainstream New Zealand.

Specialty
In the New Zealand Yellow Pages directory were listed 487 specialty butchers, 945 Bakers, 128
Delicatessans, 204 Fish shops, 346 Fruit and Vegetable shops, and 212 Fruiterers and Greengrocers
in May 2012. The biggest chain of butchers, who tended to emphasise price, was The Mad Butcher
with 36 stores nationwide. Australian-owned franchise Bakers Delight was the biggest chain of
bakeries with 33 stores nationally. Broadly though, the majority of specialty food retailers were
independent operators who traded from a single store.
As Beuvink explained, "Scale works brilliantly in packaged goods. Progressive might order a truck
and trailer of baked beans (29 pallets). They can put those cans into a central distribution point and
that is the cheapest way you can get baked beans. But if you are a small supplier of broccoli in New
Zealand, for example, you actually cannot supply the big chains. You just don't produce enough to
sell to the big supermarket chains who want consistency of supply. Instead the small player just sells
their produce at the market each day and takes what they can get there. In fact the big chains
forward purchase a lot of their fruit and vegetables to ensure that consistency of supply at a set
price - which can be more or less than the market price on any given day depending on the supply
and demand fluctuations that affect market prices."

Markets
Farmers Markets had emerged in the 2000s throughout New Zealand as something of a showcase
for locally produced food. Markets varied in the nature of rules that they applied to the approval of
vendors. Rules included that produce might have to be grown locally on land owned by the vendor.
Some markets required that produce be organic or free range. Typically Farmer's markets operated
on one day per week - usually on the weekend - and provided a venue for direct interaction
between producers and customers without a retailer.

NOSH IN 2012
International models that influenced Nosh included

in the UK and

in the U.s.

However, neither was a perfect model for the New Zealand market, there had to be tailoring.
"Whole Foods, for example, are strongly organic - and that just doesn't work as well in New
Zealand," suggested Beuvink. "It may be the lack of relative disposable income or perhaps even
interest in New Zealand for a Whole Foods concept to work, but we don't see evidence that a lot of
the market cares a great deal about organic or free range. Unless the premium is very small the
anecdotal evidence is that New Zealanders won't switch. There is a very small group who are
absolutely driven in their purchasing decisions by moral issues, but they are a very small minority in
our experience. After twenty years Huckleberry's have just opened their third store."
"The irony is I really believe in organics, free-range and fair trade," continued Beuvink. "But my job
as a retailer is to supply what people want to buy - not to dictate moral choices to customers. We
do more in a store like ours to accentuate those products than the big chains because it suits part of
our customer profile. But it can only be part of our story."
The target market for Nosh was any and every consumer, "but we are probably better with people
with more sophisticated eating behaviours and we are probably not as strong for large families with
limited budgets," described Beuvink. "Pak n Save does a really good job at that end of the market. I
have a young family and my wife shops at either Pak n Save or Countdown because there are
products we don't sell that kids need. We only sell more expensive ice-cream for example - it's
pointless giving that to kids. We do better with people who have a strong relationship with their
food - which doesn't mean you have to be rich. A lot of foodies are in fact not well off - so what
they do is spend their money wisely. And that is in fact what we encourage our customers to do. It
is wise to purchase for the day and to not waste food. We emphasise good quality food eaten
fresh."
Farro Fresh and Nosh were often perceived as quite similar. But Beuvink argued that Farro Fresh
and Nosh were both rapidly evolving brands and "probably going in opposite directions." Even
without the term 'fresh' in the company name, Nosh heavily emphasised fresh "and we would argue
it as a strength. Even our discounting is very oriented toward fresh food." Farro focused on Artisan
producers of New Zealand. "If you have a particular product you need for a specific recipe Farro will
try to service that need - by tracking it down and getting it in for you," remarked Beuvink. "We
don't. We will run a smaller store than them but probably have a much higher turnover. We don't
set out to supply people with every weird and wonderful ingredient they can think of. We focus on
things that can sell."
Many people have a love-hate relationship with food shopping. For a lot of people getting groceries
is a chore that needs to be done. According to Beuvink, "most people hate supermarket shopping,
but most people love shopping at Nosh. We need to keep that love affair - and maybe a real issue
for us in the future is that if we became more mass market would we risk that relationship. When
you are small and niche - then you're the little guy and everyone loves you. "
The business model was to be an alternative to the supermarket for a certain proportion of a
customer's shop. So even where there might be both a Countdown and a New World located in an
area - that won't necessarily deter Nosh from locating there. In fact, it may well represent enough
6

of a concentration of the right customers for Nosh to be able to fit with their particular offer.
Beuvink did not seek just affluent customers, however. "I want people who are savvy around food,"
argued Beuvink. "But we have to be convenient. That's the number one rule of food retailing. I
want customers 3 times a week. You need to buy fish for that day. There are also products that we
can be the best value in town. We import a lot of products and we are the lowest-cost producer on
a number of lines because we are the main importer. So if you want to get the best value on French
cheeses like camembert or brie - we will have the best deal in town. We aren't going to special
watties baked beans - it would be pointless because the big guys would easily respond to it and
they'd be able to undercut us with their volume. Instead we want people to top up with Nosh.
There is more involvement with the top-up than with the basics and we don't need masses of people
coming through the stores for us to work." But Nosh did need ...
Stores
"The cost of building and populating stores is really significant," explained Beuvink. " To build a
Countdown like the one across the road in Greenlane would cost around $30m. You really need
deep pockets to play that game - because, of course, one store is really no good to you. When Aldi,
the German chain, entered Australia they went very quickly up to over a hundred stores in order to
get a critical mass to go against the big players in Australia, Woolworths and Coles. But putting half
a billion dollars of capital into a market is not something we could contemplate."
Nosh did not build stores themselves. "There is no need and we are not in the property game,"
concluded Beuvink. "I get phone calls every day from property developers and agents with potential
sites for us to use. There isn't a shortage of property - although there can be a shortage of suitable
property. A lot of it has no fit at all with us." Leasing costs varied by location as well as the nature of
the property. The Greenlane store was very rundown so required a lot of upfront investment to get
up to Nosh standard, but leasing costs were lower as a result. Other sites required less investment
up front, but the leasing costs were higher. The set up cost of a Nosh store was around $1.5m
including working capital, staff training, shop fittings, plumbing and electrical and inventory. If Nosh
took over a comparable site from another grocer then set up costs would be substantially lower.
"The size of store we use right now works for us," claimed Beuvink. "Our ability to operate bigger
stores would depend on our ability to interest our customers in a bigger range of products. So, what
we do today works - but where we go in the future with formats is more open. Maybe we could be
the size of the big guys in time, but for now our focus is on our core business - and smaller is better
under that business model." The size of store also impacted on ...
Locations
Choosing locations was not an exact science - though there were clear criteria that Nosh used. "In
some cases Nosh used a lot of research on houses in an area, lifestyles and psychographic data,
traffic flows and more. Sometimes it was more obvious though - "we really didn't need a lot of
research to figure out that Ponsonby would work," confided Beuvink. The clientele at Nosh's
Ponsonby store was younger than other Nosh stores, had typically travelled and enjoyed the more
exotic products Nosh carried. Identifying a location in Hamilton was more difficult because of the
spread out nature of the town. With a model built around convenience, that spread was especially

problematic. In addition available research tended to be built around an urban market - raising
questions of relevance.

JJ

"Hamilton may have been our most challenging store to date," stated Beuvink, "and it was the one I
wondered if we had made a mistake on We hadn't and it is trading well after getting through the
valley of death. But clearly we had to build up brand awareness from scratch in Hamilton. Cost to
service the store is also a little bit higher in Hamilton as we spread our footprint from logistics costs.
The added distance also just makes it that little bit harder maintaining managerial oversight."
Hours were different for each Nosh store depending on the needs of the local market. "The
Hamilton store, for example, closes at 6pm because the CBD is essentially empty by then," explained
Beuvink. "Traffic dies off after that. In our Ponsonby Road store our busiest time will be 5-7pm
because that is the nature of that market. Ponsonby is an area in New Zealand where there is real
urban living that reflects international trends towards smaller living spaces and more frequent shops
as a result." More stores and more hours meant more ...

Staff
Service levels in New Zealand supermarkets were generally low - at the checkout and often not a lot
more. "Even at a big deli counter they can have just one person working," noted Beuvink. "At our
Nosh stores you will find two or three people working at the counter on much lower volume. Their
labour costs compared to us are just a fraction because they have so few people compared to their
turnover. Similarlv, even at head office the big chains have a really efficient operation with a
relatively small number of people overseeing a massive operation."
Nosh were regularly approached by people interested in working there, but they also upskilled staff
internally. People were attracted to the Nosh environment. "We are smaller and more personal
with customers interested in the product and staff interested as well - there is a passion for food
that comes across," identified Beuvink. "We don't necessarily need to have large numbers of staff to
provide great service, but we do want our staff to be expert so that they can really engage
customers. Certainly to begin with it was harder getting people who had supermarket experience to
work for us because we were only one or two stores. But we have lasted a while and grown so
people are beginning to see us as a career option." Customer retention was also encouraged by
Nosh through ...

Marketing
Nosh introduced their VIP card in 2011 to encouraged loyalty. "We have a brand that people don't
mind carrying around in their wallet," commented Beuvink. "You might get the odd comment that
you are earning too much if you shop at Nosh, but the brand certainly has positive connotations."
The card allows the tracking of customer purchases - the same as Progressive use with the OneCard.
"But it also means that we have an invitation to communicate with our customers in the most
efficient way - electronicallv." In 2012 Nosh still produced physical mailers that were delivered to
homes in close proximity to their stores. Mailers allowed a very data-rich communication with
potential customers far more efficiently than other advertising mediums. "But we would not expect
to continue to deliver mailers in the long-term - we would like to transition that to an electronic
platform." Nevertheless, mailers were still the critical means in 2012 for showcasing the ...

Product Range
The big supermarkets had very strong relationships with suppliers - to the point where suppliers
could be concerned about supplying Nosh for fear of a potential reaction from their biggest
customers - Foodstuffs and Progressive. Nosh, therefore, faced restrictions in terms of how they
could compete with the big guys. "Under, over, around - anything but head on," mused Beuvink.
"We put through good volumes from our stores and we are geographically tight so our cost to
service for suppliers is pretty low. So what we really try to get from suppliers is transparency. If we
don't sell much of a product I don't expect to pay the same price as the big guys."
"Our product range has to be better than our competitors - it can't be the same," contended
Beuvink. "It also can't be much more expensive - we have to remain price competitive. It is unlikely
that we will ever sell toilet paper, for instance, because we can't do it in a way that would be
compelling. The big chains can bring that in extremely efficiently and there is no real point of
difference we could offer at present - so we will only be a part of a customer's grocery shop. But,
having said that, toilet paper is big volume product that takes up a lot of space on the shelves and is
low margin - even the supermarkets don't like selling it, but they have to."
Nosh was quite a seasonal business so the exact mix of products varied throughout the year. Nosh
had around 5,000 individual product lines (SKUs) in their system as active products, but a good
proportion of those would not be on shelves at any particular time due to seasonality. The
supermarkets might have 20,000 SKUs. But even with 5,000 SKUs, inventory was a huge challenge.
Sales varied depending on the weather and seasons whilea lot the product was perishable. Product
brought in, therefore, had to match product sold or wastage occurred which had a big impact on
profitability. Nosh operated with little storage on-site using a just-in-time system predominantly.
The Countdown supermarkets operated quite similarly with the bulk of food coming in as needed
from suppliers, whereas Pak n Save used more warehousing. The product range itself had been
enhanced by the ...
Waitrose Alliance
Nosh formed an alliance with Waitrose, the UK supermarket chain in 2011. The alliance began
simply because Nosh asked the question. "We called up Waitrose and asked if they would be
interested in supplying us," smiled Beuvink. "They said yes and it's been great. They have 300 of
their own stores in the UK and we have provided six more outlets for them here in New Zealand."
Waitrose was a very experienced operator who had good relations with a large number of suppliers.
Already buying a large amount of product for their stores in the UK, Waitrose could get better prices
than Nosh would have been able to and had a large enough team to deal with all those suppliers.
The prices that Nosh accessed through Waitrose were cheaper than the big supermarkets in New
Zealand could purchase those lines using a distributor. "The alternative is I could go over to France,
potentially learn French, and try to establish relationships with cheese suppliers in order to get in
some really excellent Brie and then I would still have to set up a system of quality control to make
sure we are getting want we want," contended Beuvink. Or we can work with Waitrose as part of a
larger relationship and utilise the fact that they have already established relationships, are close by
and have excellent quality control systems set up."

For Nosh, the relationship also represented an opportunity to secure their supplier lines. By dealing
with Waitrose, Nosh had removed middle men who would sell to Nosh but would also be willing to
supply anyone else. "Under the middle man scenario we can be the launching platform for people
to sell into the bigger supermarkets in New Zealand. We've learnt first-hand the peril of that
approach. You put in the effort of bringing people into New Zealand and end up doing the work of
the big chains for them."
Through Waitrose, Nosh had access to Waitrose branded products (private label) as well as other
brands that Waitrose sold. One of the ways that Waitrose had grown share in the UK was through a
well thought out approach to their own Waitrose brand. Private label in New Zealand through Pam's
at Foodstuffs or Homebrand and Select range at Progressive was very big business - but it was also
unimaginative. "The private labels here just do direct imitations of products from existing suppliers
that work. Waitrose, by contrast, looks to do things differently. For example, Cerebos range of
herbs and spices are sold in Waitrose, but the Waitrose branded herbs and spices are organic - so it
is not the exact same product in a different package. Rather than discouraging supplier innovation
by copying any new product developed, Waitrose encourage innovation." Partnering with Waitrose
was a critical driver of difference for Nosh, with an impact on ...

Pricing
The setting of prices involved a combination of factors - costs, demand and competition to name
three. "If I could index to Countdown I probably would but that's not always possible," explained
Beuvink. " Sometimes I can be way cheaper, sometimes I can't be as cheap. Our system is very much
line by line. We don't check competitor prices specifically - but if you are in the industry you do
tend to know what prices things are generally going for." Exhibit 5 shows a price comparison
between Nosh & Countdown.
Specials were often about what could be done. In a fresh context - if there was an abundance of
something that would mean a really good price at market and, therefore, the opportunity for Nosh
to special that item. With forward purchase at set prices and promotions set up in advance, the big
supermarket chains were not always able to respond. One promotion that gained a lot of attention
for Nosh in 2012 was ...

Milk
In February 2012 Nosh reduced the price of a 2 litre bottle of milk to $2. It represented a price cut of
more than 50% for Nosh and while Mill St Pak n Save in Hamilton (across the road from Nosh)
initially responded both large chains issued statements to the media that they would not be
responding. The milk was initially supplied by Cow & Gate, who were owned by Goodman Fielder
and supplied by Fonterra. "There are a few areas in a supermarket that are absolutely key to
profitability and milk is one of them," explained Beuvink. "The margins give you scope to attack, but
of course it inflames and enrages them, so I need to be very careful about that. The saying is 'don't
prod the gorilla,' and one person told me we were electrifying the gorilla with the milk deal - so we
do have to be careful. Having said that, it's not like they've been friendly up until now anyway.
Anything they can do to make your life more difficult, they do already. So, ultimately the focus has
to be on building your own brand. The milk offer has allowed a lot of air space to do that."

10

The initial promotion had subsequently been replaced by Nosh partnering with Green Valley to
bottle milk under the brand Nosh Essentials. Pricing has been increased to the break-even level of
$2.49 as Beuvink promised the market he would do. Green Valley were fully integrated - so they
were not reliant on Fonterra for milk supply. Fonterra had not been supportive of Nosh's plans for
milk. Green Valley also did not have pre-existing relationships with the big chains that could be
threatened. "People struggled to understand the motive behind our move on milk," argued Beuvink.
"But there is a philanthropic aspect to what we have done. I want my kids to drink milk and I want
other kids to drink milk and the price of milk is just too high. The argument from the industry was
that we were devaluing the category - but we just wanted to encourage consumption among a
group who should be drinking milk. Milk is a unique product because you don't have options. If you
don't like the price of lamb, you can buy chicken or pork - but the alternatives aren't the same for
milk."
"When we priced at $2 for two Iitres of milk we were losing money on each bottle and we lost a lot
of money as a result because volumes took off, laughed Beuvink. "It actually went way better than
we expected - so we lost a fortune. We wanted to change the market - but we were accused of
using it as a gimmick. The big guys just wouldn't play and so did not change their prices. We were
probably a little naive in thinking they would respond."
The price of milk at Nosh had certainly meant more customers through the door. A common
strategy globally in supermarkets was to offer core products like bread or milk at a loss or close to it
(loss leaders) to drive traffic. Margin was recovered by the sale of other profitable lines as part of a
total shop. "We certainly don't get customers buying our other products based on any goodwill in
regard to milk," argued Beuvink. "They only purchase products from us where the offer is attractive.
More people are at least seeing the offer - but it is hardly a gimmick."

THE FUTURE
The goal was clear - 5% of the New Zealand market - but the timeline was a little less so and the
pathway to achieving that goal more open still. The one thing Beuvink knew was that Nosh needed
to maintain a point of difference and an intimacy with their customers. He pondered "How do we
grow so that we don't just become another supermarket chain?

11

Exhibit 1: NZ Quarterly Retail Sales by Industry

Actual retail sales!"


By quarter by industry

Industry

Series

2009

ref:

Dec

I
I

2010
Mar

Jun

Sep

RITQ

Dec

I
I

Mar

$(million)

Supermarket and grocery stores

SlAAC

4}251

3}978

3}861

3}979

4}415

4}212

Specialised food

SlABC

334

311

306

307

342

325

Liquor

SlACC

382

309

300

288

365

296

Non-store and commission-based retailing

SlAEC

150

151

148

Department stores

SlAFC

256
1}181

830

890

832

207
1}146

795

Furniture} floor coverings} houseware, textiles

SlAGC

475

446

439

388

SlAHC

1}231

399
1}113

430

Hardware} building} and garden supplies

1}126

1}159

1}243

1}089

186

Recreational goods

SlAJC

398

409

567

455

SlAKC

605
921

475

Clothing} footwear} and accessories

773

866

771

985

822

Electrical and electronic goods

SlALC

719

SlAMC

1}162

593
1}047

655

Pharmaceutical and other store-based retailing

565
1}049

1}068

683
1}176

1}061

Accommodation

SlAUC

Food and beverage services

SlAVC

636
1}729

780
1}643

563
1}535

594
1}581

673
1}735

1}689

Core industries total

51A1C

13,882

12,376

12,066

12,239

13,976

12,679

Motor vehicles and parts

SlAPC

1}806

1}877

1}978

2}025

1}858

1}968

Fuel

SlAQC

1}646

1}712

1}682

1}590

1}756

1}855

All industries total

51A9C

17,334

15,965

15,726

15,853

17,589

16,502

Source: NZ Statistics

12

587
774

Exhibit 2: NZ Quarterly Retail Sales by Region


Actual retail sales!"
By geographical region
North Island

South Island

Auckland

Waikato

Wellington

Remainder

Total

Canterbury

Remainder

Regional

Regional

Regional

of North

North

Regional

of South

Council area

Council area

Council area

Island

Island

Council area

Island

SlARE9C

SlARF9C

$(million)

Series ref: RTT

SlARA9C

SlARB9C

SlARC9C

SlARD9C

SlARG9C

Quarter

2007
2008

2009

2010

2011

5
4

J593

J533

J807

12

J888

J981

J436

J689

3
3

J955

Mar

J776

Il

J883

J041

Jun

J845

J349

J682

J571

Il

J446

J964

J778

Sep

J883

J397

J699

J608

Il

J587

J933

J800

Dec

J323

J552

J856

J921

12

J652

J978

Mar

J656

J362

J585

J489

Il

J093

J176

J834

Jun

J884

J383

J610

J423

Il

J300

J918

J768

Sep

J007

J398

J581

J624

Il

J611

J915

J814

Dec

J726

J594

J751

J974

13

J045

J200

Mar

J154

J502

J609

J676

Il

J940

J972

Jun

J236

J499

J703

J394

Il

J832

J776

Sep

J336

J500

J760

J414

12

JOI0

J763

Dec

J966

J659

J904

J808

J336

J923

J490

J600

J766

3
3

13

Mar

5
5

J578

12

J433

J923

Jun

J537

J571

J833

J443

12

J384

J799

Sep

J737

J537

J841

J632

12

J747

Dec

J535

J814

J984

14

J406

Dec

J073

Source: NZ Statistics

13

J176

J227

Jl18

J081

J330

J146

J182

J204

J477

J061

J027

J088

J053

J894

Jl19

Exhibit 3: NZ Quarterly Stock Levels by Quarter


Actual retail stocks at end of quarter!"
By industry

Industry

Series

2009

ref:

Dec

Supermarket and grocery stores

S2AAC
S2ABC

Liquor

S2ACC

Non-store and commission-based retailing

S2AEC

Department stores
Furniture} floor coverings} houseware,
textiles

S2AFC
S2AGC
S2AHC

Recreational goods

S2AJC

Clothing} footwear} and accessories

S2AKC

Electrical and electronic goods


Pharmaceutical and other store-based
retailing

S2ALC

Accommodation

2010
Mar

Jun

Sep

S2AMC
S2AUC

Food and beverage services

S2AVC

Core industries total

52A1C

Motor vehicles and parts

S2APC

Fuel

S2AQC

All industries total

52A9C

Dec

I
I

Mar

$(million)

RITQ

Specialised food

Hardware} building} and garden supplies

I
I

599
44
173
85
609

608
44
152
83
651

578
46
156
66
615

594
43
142
85
690

649
44
167
72
717

631
51
146
79
689

268
741
443
633
393

255
753
410
657
345

260
742
434
639
358

247
739
441
655
366

261
783
458
705
383

252
745
418
699
338

528
31
108
4,656
1}006
94
5,756

503
32
108
4,601
1}082
83
5,766

484
32
108
4,517
1}185
82
5,783

480
34
108
4,625
1}183
79
5,888

522
35
117
4,915
1}250
98
6,262

477
32
117
4,674
1}259
104
6,037

Source: NZ Statistics

14

4,!
1}.

5,!

Exhibit 4: Supermarket Wars


DOMINION POST - 03 DEC 2011

Edition 2,

Page 1

WARS
By: DASTGHEIBShabnam

Behind the major


sit two rival companies at constant war. Their mission is simple: to turn every shopper into
a buyer. But the weapons used to entice purchasers are growing increasingly complex as the
giants vie for
market share. Shabnam Dastgheib reports.

FRESH produce glistens beneath temperature-controlled water vapour, its green colour calming unsuspecting shoppers to
put them in a good mood.
Generic easy-listening harmonies sound gently from surround-sound speakers in a bid to make customers linger in the
aisles. The in-store television screens announce the latest specials - some below wholesale cost.
Cut-price bottles of wine lure shoppers to the booze section, their mark-downs too hefty for many to pass up. Suddenly the
quick
dash for a loaf of bread is derailed by the bakery section's sweet delights, or numerous special offers or
"two for one" deals that pepper the aisles.
Nothing in a
is positioned accidentally. Shoppers are surreptitiously bombarded with an array of cunning
ploys designed to put more items in their trolley.
The science of retail design has become an intricate artform as the country's
duopoly battles each other for
business. Progressive Enterprises owns Countdown, while Foodstuffs owns Pak'n Save, New World and Four Square.
Competition between the two companies is heating up, with each side hungry for more customers and greater revenue.
However, experts say the battle for more shoppers will probably not lead to price cuts.
Last week, the Advertising Standards Authority urged the two companies to work together to self-regulate comparative
advertising after ruling that Progressive had misled its customers on pricing. Progressive claimed Foodstuffs had used
similar tactics the year before.
Both sides acknowledge the intensity of competition with Foodstuffs, likening it to the "Bledisloe Cup of

CII i",\ Q I"' I"'n ":l I"' V l:'I+C"

Wellington branding expert Jonny Mole, chief executive of Chilli Marketing, doesn't think consumers will benefit from the
competition.
"I don't think there is a huge potential for price competition. It's not like you have a whole range of brands competing.
"New World have refreshed their brand. Countdown have refreshed their overall brand and it looks like they are both
gearing up to go for loyalty. Progressive made a pretty proactive step to directly compete with New World, they have
basically given up on Pak'n Save.
"They have recognised that to compete directly they need one strong brand. I think the competition is definitely going to
heat up between the two."

15

Progressive Enterprises' parent is Australian company Woolworths, and it owns every Countdown store in the country, as
well as about 3000 stores across the Ditch. Last month, Progressive finished consolidating its brand and the final Foodtown
and Woolworths stores were phased out, leaving only a newly revamped Countdown behind.
Competing with Progressive is Foodstuffs, a New Zealand-owned co-operative which owns Four Square, New World and
Pak'n Save.
The increased competition means each
will have to work harder to woo shoppers and persuade them to part
with their money. The Wellington region will soon be a
battlefield - seven new
are planned with shoppers caught in the cross- hairs.
Foodstuffs is to open new
in Churton Park, Newlands, Mt Cook and inner-city Ghuznee St while Progressive
Enterprises is building a Countdown
in Newtown, one next to the Tawa motorway turnoff and has the green
light for a new Countdown in Petone, almost opposite rival Pak'n Save.
New World Porirua has just undergone a major refurbishment which Foodstuffs says is just the beginning of a wider
development programme in Wellington.
Consumer chief executive Sue Chetwin says: "Normally when you get competition it is good for customers but in some
respects when you get competition and it is a duopoly, this can act like a monopoly. It will be interesting to see how that is
going to work."
A retail design expert and director of Design Environments, John MacDonald, has been in the business for 50 years,
designing smaller food outlets and clothing stores. He says he is blown away at the rate of new developments and change.
"You can't get control of itat the moment. But the principles are still the same as when I began - shops present product in
the most positive light to encourage purchase."
The positioning of each product is a science but it comes down to more than just shelf placement.
"Music comes into it. Sound levels are often increased as the place gets busier. This is all automatically worked out. The
light level increases automatically so that it is brighter at the right time of day. The five senses are coming into it, smell is as
important as anything ... and the greens at the front are there to have a calming uplifting effect on you so you linger
longer."
Mr MacDonald says
are trying hard not to lose customers to online shopping by making the experience more
enjoyable. It would take about a year to come up with the ideal
plan and each company has dedicated teams
to do this for them. "If you go instore and you can smell things and taste things, that will make the impulse purchase."
Foodstuffs says the key to turning shoppers into buyers is "having great staff, friendly service, and a strong relationship
with the local community and suppliers".
Progressive points to bigger stores, more in-store demonstrations and new products. But marketing analysts and consumer
watchdogs say the tried and true methods of lulling consumers into spending instore go much further.
Oblivious shoppers are led down aisles of perfectly arranged products and colourful special displays accented with the
perfect lighting and music designed to slow them down.
music is often easy-listening to relax customers. Progressive says it plays "a broad cross-section of light
mainstream music that is intended to add to the ambience of the shopping experience", while Foodstuffs claims each
store's music choice will reflect the local community.
\':ll r"\ OI"'I"'n ':l ,I"' V l:llt"

Australia's consumer watchdog, Choice, says shoppers are heavily influenced by instore displays even if special offers are
not actually good deals. Shoppers might find themselves lingering over buy-one-get-one-free toiletries when they only
mea nt to pick up a few stapies.
Consumer warns shoppers not to be lured in by the attractive specials displays as the 'great deals' can be on the more
expensive brands. Items on special are sometimes products nearing the end of their shelf-date.

16

Multi-unit pricing - such as "three for three dollars" or "limit of three per customer" is a winner - and this technique can
know most shoppers make decisions instore. Many shop without a list and the person making
drive up sales.
the list and the shopper are not always the same person.
want to promote, such as best- sellers or the
own brands, are placed at eye
Products that
level. Staples such as flour and sugar are down low as customers have no choice but to bend down.
Confectionary, sweet and cereals are also often at ground level as the big companies know what every parent is aware of children make the best shoppers.
Colour is carefully used to evoke certain feelings in the shopper. Red demands attention so is used for the discounts and
items on special. Green conveys calm, freshness and health, while blue releases trust hormones.
Yellow is a common colour in food packaging and signage as the golden shades can stir up feelings of hunger.
Shoppers usually dip in and out of aisles while staying around the outside perimeter, and this is where the most visually
appealing stock is on display - the plump and creamy muffins, the tempting spreads and cheeses, the brightly lit-up deli
meats.
adopt new techniques to tempt the unsuspecting customer. Some are tried and true, like
Year after year,
promoting specials at the end of aisles - people walk slower in these areas as they manoeuvre the trolley around, and often
can't help but glance at the lively displays.
i'""lOI"'i"Y'l ':l Ir v o ,tc also make sure to place staples such as milk and bread as far inside the store and as far apart as possible.
Shoppers who walk past rows of product will spend more.
'I I

Foodstuffs Wellington general manager of brands George Sutherland says the competition is healthy and keeps the
company on its toes. He denies suggestions any elements of Foodstuffs
design are designed to dupe people
into buying products they don't want. "If we did, our stores would be very empty very quickly."
Progressive spokesman Luke Schepen says the retail landscape in New Zealand is extremely competitive and retailers are
fighting it out for every shopper's dollar.
lilt's never been more competitive. People will always have different theories around the way
but we work to what is best for our customers."

are designed

Mr Schepen says the basics of retailing haven't changed but there have been subtle alterations over the years. Countdown
stores are now using more in-store tastings and promoting combo deals.
"People still want a nice place to shop where things are cheap. For example, the biggest individual product specials are
located at the end of the aisles. This is prime real estate for the biggest promotions.
"There are also other types of specials such as 'combo deals' where a customer might be able to pick up a pasta and pastasauce deal for a great price."
These combo deals are in every
and help drive up sales of both products. For example, chips are placed near
the dip or the French onion dip with the reduced cream, tea and coffee are normally near the biscuits and so on.
Mr Schepen says retailing is both an art and a science. "We have around 25,000 products in the average
and
the placement of products simply goes on what our customers buy. That's why we have more breakfast cereals than lemon
essence, for example."
Mr Sutherland says the most important factor in turning shoppers into buyers is constantly improving operations through
feedback from customers and staff. Reducing wait times at checkouts is critical and international trends are always
monitored.
"We know customers are happy to spend extended amounts of time browsing but a wait at check-out can transform a
positive shopping experience very quickly into a negative one."

17

In the future, spending will be even easier. For transactions under a certain amount, credit or debit cards can be tapped on
a card-reading device, so customers do not have to sign anything or enter a pin number. Smartphone barcode scanning
apps let shoppers compare prices and also to ask friends in their network about the quality of a product.
VIP Trolleys have been on trial in Australia. These feature a computer, video screen and GPS navigation. The trolleys
automatically scan and calculate the total cost of items as they're placed in the basket. The trolleys can take customers to
specials or shoppers can upload recipes and be taken to the relevant products.
Foodstuffs says it has its eye on new technology, though it is relatively unproven at this stage. Progressive says there are no
firm plans to bring the technology to New Zealand.
Victoria University marketing senior lecturer David Stewart admits that even though he knows all the tricks, he still
struggles to emerge from a
expedition with just the items he went in for. "People who go with a shopping list
1
spend less than those that don't, So if you can go in with a shopping list and say, 11 11 have the sardines, the toilet paper and
l
the margarine and nothing else then you're doing well. I know I struggle to just pick up the one item."
"Loss leaders", meanwhile, are all about margins instore. The idea is that shoppers can be enticed to come in by a
ridiculously good deal, one that may even be below cost-price.
rely on grabbing customers this way and then
hope those customers will also pick up a few extra items.
Dr Stewart says it is all about managing margins. "This has been around for a long time. While they have a loss leader they
will have other things they make good margins on, like fruit and vegetables.
l'I've noticed at New World at the [Wellington] railway station they have changed the beauty and toiletry display so you
can see across it. You can see it now and get taken in by it, all of that stuff is impulse. You'll see it, recognise it and chuck it
in your trolley."
\.:11 i'"\ Q l"' i~ ":lIV"V Q 't-C'

are constantly looking at an aisle or a segment of an aisle and thinking about how to increase turnover.
"They are good at deleting items that don't sell as well; if anything is not selling quickly enough for them they will delete or
take it out. They might put handwash or shampoo down but they have a look at the razor blades and [put] the price on that
up a bit. They balance out against each other."
Dr Stewart agrees increased competition will not benefit consumers. "I would argue it's a duopoly, there is not much
competition there really. I bet there is not much difference between the two."

Seduction Techniques

Consumers walk through fruit and vegetables first even though these will get squashed at the bottom of the trolley.
Experts say this is to create an uplifting effect on the consumer and put them in a good mood for shopping.
Staples like bread and eggs and milk are never together and never near the entrance. This is so the consumer has to walk
through as much of the store as possible, passing tempting products on the way.
"Loss leaders" are heavily discounted items often sold at a loss, the idea being that the shopper will pick up a few more
items while in the store to balance out the margins.
Product information is kept at a minimum to keep shoppers from being overwhelmed.
Lighting and music are adjusted automatically to reflect what is going on outside and how busy the store is.
Chocolate and other treats are at the checkout so consumers can "treat" themselves for a good shop.
Positioning chips with dip or tea near biscuits makes sense and increases the sales of both.

18

Kids make great shoppers so tempting items like sugary cereals are put at their eye- height.
Bestsellers and high-margin products are put at eye-level while products that don't sell as well or are better bargains are
on the top or bottom shelves.

How To Shop Smarter

Consumer warns that prices advertised on the shelf sometimes haven't been updated at the checkout, so shoppers should
keep an eye on food as it is put through.
Make a list and stick to it - it's the key to avoiding impulse buying.
With specials, check the regular price to see the size of the actual saving.
Check prices and sizes. Smaller sizes sometimes work out cheaper than the larger size.
Don't go shopping when hungry. With a full stomach customers are less susceptible to the free samples and promotions
designed to tempt.
Get to know the local
astray.

CIIr"orrY'l::lr!.r::llt

layout. Customers who know where to get the things they need are less likely to be led

Source: Consumer NZ and Choice.com.au

' I I r"orrY'l::l1r V':::llt

home brands growing in popularity

GLOBALLY, the recession has led to the rise of budget- priced generic store-brands as
cheaper products to prime spots on the shelf.

CIIi'"'OI"'Ir'Y\::III"' VOf-c

promote their own

stock. By
The British market for budget instore brands is estimated to make up around 40 per cent of all
comparison, private
brands in New Zealand are estimated by local researchers to make up 15 to 16 per cent
of
stock. The figure is 17 to 18 per cent in Australia.
Retail analyst Tim Morris, of Coriolis Research, an Auckland market research firm, says store brands do well when the
economy is down. "But when the economy is roaring away, consumers return to the brands they know and love."
Mr Morris says that often when store brands grow in popularity, it is the smaller manufacturers being squeezed out, while
loyalty to popular brands remains strong.
But manufacturers can sometimes have the option of producing the
profitable.
Branding expert Jonny Mole says the promotion of
push their own products.

In ...... I"'!"Y\"\I"' I." ....f-

cllr"orrY'l::l,rv::llt'c

own store brand products to remain

brands is inevitable as it costs the

"But still there's a lot of choice here and there's always going to be a demand for a range of products. With two main
players in the market, it does make more sense for them to source their own product."

19

In August, food manufacturer HJ Heinz criticised the dominant market power of Australian giants Coles and Woolworths for
fostering an "inhospitable environment" for suppliers.
The Australian Food and Grocery Council claims
appeal to shoppers.

CI Ii''''I O I'' rY'l ::::ll I''V ' :llt

brands are imitating well- known and trusted branding to

Coles and Woolworths are accused of mirroring designs, colours, names and labels of well- known brands.
Mr Morris says this is a common trend worldwide, though not seen much in New Zealand.
lilt's just a game that is played. Manufacturers are constantly concerned about it but it doesn't really impact the number
one brand."
Products like yoghurt and vitamins are constantly changing so copycat brands find it easier to focus on the basic products
like bags of sugar, which generally can't change much.
"There's always something going on, it is constant tech-warfare. Some categories are very resistant to private labels."
Mr Morris says consumers are generally very loyal to brands even if there is no real logical difference.
Customers have strong brand loyalty to some products and in areas like tobacco, razor blades and hair-dye store brands
will never do as well.
"Dairy is more susceptible to private labels because there's not much innovation. New Zealand is a long way away from the
rest of the world. We are just seeing the slow and gradual growth of private labels."

Fat And Booze: Twin Sins Of Advertising

advertising has been criticised for breaching liquor advertising laws and promoting unhealthy options.
Consumer NZ says fruit and vegetables make up too small a proportion of
advertising. According to a 2005
Health Ministry report, the total advertising spend by the food industry on chocolate, confectionery and soft drinks was
more than nine times that spent on advertising for fruit and vegetables.
\ ' : l l r"\ Q I"'!"Y\ ,,:!,I"' V l:ll +

\.:11 i'"\ Q l"' i~ ":lIV" V Q 't-C'

always have some fruit and vegetables on special, but they rarely have specials that encourage shoppers to
buy extra fruit and vegetables, according to the national watchdog. Consumer NZ has also called for more snack-free
checkouts, as is the case in some British
chains. Progressive does not have any confectionery-free checkouts
and says there have been no demands for that. Foodstuffs says it is committed to having a minimum of 25 per cent of all
its checkout aisles confectionery- free.
Consumer NZ says
entice customers to stock up on beer and wine, and the Advertising Standards Authority
has ruled against Progressive and Foodstuffs several times for breaching alcohol advertising laws.
Authority rulings over the past year include:
A Progressive flier advertising several bottles of wine on sale at Countdown was seen as misleading, as the image of the
specific wine used to advertise overall specials was not included in the actual sale. This complaint was settled. (April 2011)
A complaint against a New World newspaper advertisement promoting a training session with the Silver Ferns with alcohol
prizes up for grabs was upheld. (August 2011)
advertising linked a car giveaway with alcohol. (December
A complaint against New World was upheld after
2010)/ Liquor advertisements are legally required not to use or refer to identifiable heroes or heroines of the young or to
offer motor vehicles or boats as prizes in any competition.

20

st

Exhibit 5: Greenlane Price Comparison (April 21 2012)


Product
Avocados
Royal Gala Apples
Navel Oranges
Truss Tomatoes
Sweetcorn
Bananas
Bananas
Lettuce
Potatoes
Sausages
Bacon
Lamb
Steak
Corned Beef
Chicken
Pork
Snapper
Ciabatta
Palm Sugar
Fish Sauce
Mint Jelly
Dijon Mustard
Porcini Mushrooms
Pasta
Couscous
Olive Oil
Ground Cinnamon
Bouquet Garni
Baking Powder
Cornflakes
Milk
Butter
Beer
Wine
Chocolate
Verjuice
Truffle Oil
Comparable Shop

Type/Brand
NZ
NZ
US
NZ
NZ
All Good Fair Trade
Iceberg
Loose, white washed
Beef Old English
Freedom Farms Streaky
Rack
Scotch Fillet
Silverside
Breast Free range skinless
Freedom Farms Loin Chop
Fresh Fillets

Golden Boy / Asian Home Gourmet


Essential Waitrose / Masterfoods
Essential Waitrose / Delmaine
Waitrose Cook's Ingredients
Colavita / San Remo
Essential Waitrose / San Remo
Olitalia / Lupi
Olio Extra Virgin / Filippo Berio EV
Waitrose CI (organic) / Greggs
Bart / Masterfoods
Waitrose Cook's Ingredients
Edmonds
Waitrose / Homebrand
Nosh Essentials / Homebrand
Tararua
Peroni
Nautilus Sauvignon Blanc
Pegasus Bay Pinot Noir
Donovans Tablet
Seleni Epicurean
Italian White
Produce
Meat & Fish
Basics
Alcohol
Others
Total

Size
Each
2kg
kg
kg
each
kg
bunch
each
kg
kg
250g
/kg
/kg
/kg
/kg
/kg
/kg
450g
454g
200ml
340ml
180g
30g
500g
500g
1 litre
1 litre
33g
109
14g
400g
500g
2 Litre
500g
Dozen
Bottle
Bottle
100g
375ml
50ml

Nosh
0.89
2.99
2.99
4.99
0.99
2.69
3.99
1.79
1.99
12.99*
12.99
52.49
34.99
8.99*
29.49
26.49
39.99
5.29
3.79
2.79
5.99
4.99
14.99
3.29
4.99
18.99
12.79
6.99
5.49
7.99
4.79
6.99
2.49
6.99
31.49
22.29
57.79
4.99
20.99
14.29

Countdown
1.89
4.45
2.99
3.99
0.49*
2.99
N/A
2.69*
1.98
9.45
8.99* (10.05)
28.99* (31.49)
36.99
6.49*
24.99
18.99* (20.99)
35.99* (37.99)
4.75
2.67
2.66
4.05
2.99* (3.69)
N/A
2.30
2.81
13.97
14.79
2.24
3.59
[12.56]
3.49* (3.74)
2.89
3.54
3.99* (6.49)
31.99
17.99* (25.99)
N/A
N/A
N/A
N/A

24.96
122.18
45.12
53.78
35.14
281.18
220.09

30.11
103.52
42.58
57.98
28.83
263.02
211.26

SIZE2 is the size at Countdown if different to Nosh


EQV is the price at Countdown for an equivalent size as Nosh offer

* On Special (normal price)

Size2

EQP

1.5kg

5.93

675g

14.00

380g
260g

5.63
4.66

290g
200g

4.74
3.32

40g
4g

1.84
8.98